If You Deposit $100 of Currency into a Demand Deposit

question 119

Multiple Choice

If you deposit $100 of currency into a demand deposit at a bank, this action by itself

• A) does not change the money supply.
• B) increases the money supply.
• C) decreases the money supply.
• D) has an indeterminate effect on the money supply.

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Definitions:

Milk Ejection

The reflexive release of milk from the alveoli of the mammary glands to the ducts leading to the nipple, stimulated by the hormone oxytocin.

Paraventricular Nucleus

A nucleus within the hypothalamus that plays a role in regulating the autonomic nervous system and the secretion of hormones.

Oxytocin

A hormone and neurotransmitter involved in childbirth, lactation, and social bonding.

Dorsolateral Region

An area of the brain associated with executive functions such as working memory, problem-solving, and attention.